You are here: Home - News -

Survey shows South East house prices suffering

  • 14/01/2002
  • 0
Volatile conditions in the South East were the focus of The Royal Institution of Chartered Surveyors...

Volatile conditions in the South East were the focus of The Royal Institution of Chartered Surveyors (RICS) latest residential housing survey. While house prices in the North continued to climb, it was found that the South East suffered towards the end of last year.

A total of 37% more chartered surveyors recorded a fall in prices in the South East against those reporting rises. Ian Perry, national housing spokesman at RICS, said: ‘The market slowdown in the South East reflects the fact that the rate of rises earlier this year was unsustainable and buyers have become increasingly reluctant to pay the asking prices. This clearly shows that, at the moment, sellers have to price realistically to achieve sales.’

The capital was worst hit towards the end of last year, with 56% more chartered surveyors in London observing a fall in prices against those reporting rises.

Ray Boulger, senior technical manager at Charcol, believes this is a trend that will continue into 2002. He said: ‘Volatility within London will continue into the early part of this year. The top end of the market is likely to remain fragile, this is very much influenced by what is happening globally and also because city bonuses have been cut this year.

‘The lower priced properties are influenced by average earners and I think that prices in London up to £0.5m will be OK, but may not perform as well as areas outside of the city.’

In contrast, the North continued to yield increases. Here 40% more surveyors reported rises in house prices as opposed to falls.

Looking towards the future, RICS is optimistic that the housing market will continue to be strong. Perry said: ‘Chartered surveyors are confident that the overall market will continue to be positive in the coming year. The prospect of a healthy economy and continued low interest rates, on top of strong signs of interest from potential buyers, suggest 2002 will continue the trend towards a more robust market, even though signs are that it will be subdued in the early part of the new year.’


There are 0 Comment(s)

You may also be interested in

Business Skills

In this section, we offer short ‘how to’ guides on harder to crack areas of business. From social media, to regulation or niche product areas, we cover it all.


Our journalists interview key industry entrepreneurs, strategists and commentators for day-to-day market insight and a strategic view of where the industry is heading. We offer lessons for success and explore the opportunities for your business

Success in Practice

Here, we share case studies fleshing out best practice to help you decide what could work for your business. Take a look at how others approached complex tasks like launching a new mortgage lender, advising on a new product area or deciding to specialise in another. Learn from others mistakes and triumphs.


Each week, we ask top mortgage and property commentators with a unique perspective to examine a key news headline, market move or regulatory or political issue.


Vote in our weekly poll here. It’s your chance to tell us what you think and be heard on the top news stories of the week. Review our archive to find out what your industry really thinks and all our coverage of the results.

Top Comments

Be part of the conversation on Mortgage Solutions. We want to hear from you. We have a tool called Disqus to tell us which stories get the most comments each week. Every Friday, the team picks the most thoughtful or opinionated contributions from our readers to enjoy again. Don’t forget to share your favourite stories from the site on social media to keep the conversation going.
  • RT @robjupp: Great day yesterday for donations to @MortSleepOut. With Gift Aid, we are now close to £17,000. It would be great to get to £2…

Read previous post:
Survival of the fittest

Kirstie Redford talks to Mike Green, sales director of Mortgage Brain, about trading platforms, compliance issues and drinking gin and...